The St. Louis Federal Reserve estimates that construction costs have increased over 35% since 2020. That’s a staggering increase over only a few short years. This means the buildings that used to cost $1,000,000 to construct now cost $1,350,000. If you have out-of-date insurance coverage, this could leave you out of pocket more than $350,000 on a $1,000,000 building in the event of a total loss.

We recently interviewed Charlie Schuetz of Integrity Insurance & Financial Services, Inc. to gain a better understanding of how these increased building costs impact your commercial real estate and homeowners insurance coverages.